PUBLIC CONSULTATION | Open until September 13, 2023
2X Global and the 2X Challenge have been at the forefront of building the field of gender lens investing (GLI). Today, hundreds of companies and investors around the world use 2X Criteria as an industry standard for GLI.
An independent and universally available 2X Certification mechanism will take the previous standard setting work of the 2X Challenge and 2X Global to the next level.
| Why do we need 2X Certification?
The sustained increase in gender-smart funds, 2X-aligned companies, and instruments like 2X-aligned bonds and sustainability-linked loans has resulted in a significant demand among investors, companies, and financial institutions for an independent, universally available 2X Certification mechanism. This will enable them to move beyond self-assessments through third-party verification, assurance, and certification.
The 2X Certification mechanism will create more transparency, accountability, and credibility in the field of GLI by differentiating levels of rigour, providing a benchmark for different global actors in comparison to their peers, and lighting a path for finding concrete areas of improvement.
| Who is the 2X Certification for?
2X Certification is being developed for:
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Companies (differentiating for SMEs and corporates),
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Funds,
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Financial Institutions,
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Instruments and Products like gender bonds and sustainability-linked loans, and
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Institutional Investors.
2X Global welcomes interested GLI actors, industry bodies, and a broad set of stakeholders in developing a 2X Certification mechanism for the global field of gender lens investing across markets, sectors, and asset classes. This mechanism will use 2X Criteria as the baseline of what good looks like, while establishing what is better, best-in-class, and beyond.
Establishing the 2X Certification will use a phased approach as follows:
1.Development
〉Co-creation workshops
〉 Benchmarking
〉Validation
〉2X Certification criteria, rating methodology and mechanism, including partnerships
2. Implementation of Pilots
〉Implementation of 2X Certification pilots
3. Evaluation, Refinement and Capacity Building for Scaling
〉Evaluation and refinement
〉Capacity building of certification team and partners / accredited certifiers.
Over the last few months, we have been deep in co-creation with experts, practitioners and key stakeholders across the gender finance field to develop the 2X Certification Methodology. We are excited to share an early working draft and are eager to hear what you think. Below is documentation of our thinking around 2X Certification so far and a feedback form to collect your insights.
The public consultation will be open until September 13, 2023.
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| All opinions expressed are those of the author and/or quoted sources. investESG.eu is an independent and neutral platform dedicated to generating debate around ESG investing topics.
